Question

Survival and reasons of failure in competition with international brand of coca cola

Answer 1

Answer:

1. problem is with the people’s mentality. If the advertisement says its healthy and it is from U.S., we purchase it, mostly paying a premium. But, if it is Indian or Local, we think "Obviously it’s not hygienic, doesn't qualify for consumption etc."  

2. The availability for these products in retail stores in cities and rural area is big problem

3. International brands have been in the market for decades such as Pepsi and Coca-Cola. Thus, Local brands do not have strong supply-chain network.

4. Even INDIAN consumers do not support local brands as they think they are inferior ones

5. Pepsi and Coke have deep pockets to spend huge on marketing and take overs. Local brand does not have enough financial resources for marketing their products.

Explanation: